Saudi Arabia’s non-oil sector remains resilient

by Hadi Khatib on Feb 23, 2016

Careful management and prudent preparation are required to weather the storm facing markets in Saudi Arabia, Alkhabeer Capital revealed in a recent report.

The Jeddah-based asset management and investment firm, said: "the past 12 months have presented the Kingdom of Saudi Arabia with an opportunity to reinforce its economic fundamentals while spurring a move towards greater diversification."

According to the report, lower oil prices have taken a toll on GCC countries forcing a scaling down on non-essential spending,but continuing commitment to social infrastructure projects.

It also revealed Saudi's white land tax would add up to $13bn in government revenues.

Growth performance in non-oil sectors has been impacted but remains resilient due to ongoing diversification initiatives.

Investor focus on companies that are not overly reliant on hydrocarbons is recommended, the report added.